Why Turkish Airlines Just Bet Big on Sustainable Aviation Fuel

Klaus Schmidt · 2026-07-27

Turkish Airlines, the carrier that flies to more countries than any other airline, just signed on to join the SAFFA Fund I, LP. It's a move that says a lot about where the airline industry is heading. This fund is managed by Burnham Sterling Asset Management LLC, or BSAM for short. The goal? To speed up the production of sustainable aviation fuel, which everyone calls SAF. For Turkish Airlines, this isn't just a nice-to-have. It's part of their long-term growth plan, their sustainability targets, and their push to secure their fuel supply chain. ### What is the SAFFA Fund? The SAFFA Fund was set up in December 2023. Its whole reason for being is to boost how much sustainable aviation fuel we can produce. The aviation sector has some pretty big carbon reduction goals, and SAF is one of the few real solutions we have right now. Think of it this way: regular jet fuel is made from crude oil. SAF is made from things like used cooking oil, agricultural waste, or even captured carbon. It can cut emissions by up to 80% over its lifecycle compared to traditional fuel. But the problem is, we just don't have enough of it yet. That's where the fund comes in. ### Why Turkish Airlines is Getting Involved Turkish Airlines isn't just any airline. They fly to more countries than anyone else on the planet. That means they burn a lot of fuel. And with that comes a lot of pressure to clean up their act. By joining the SAFFA Fund, they're investing in the future. They want to make sure there's enough SAF available when they need it. It's a supply chain security play as much as a sustainability one. If you're flying to 120+ countries, you can't afford to run out of fuel. Here's what makes this interesting: - **First-mover advantage:** Not every airline is jumping into SAF funds. Turkish Airlines is positioning itself as a leader. - **Long-term thinking:** This isn't about quick wins. It's about building infrastructure that will pay off for decades. - **Real action, not just talk:** A lot of airlines make promises. This is a concrete financial commitment. ### How SAF Actually Works Let's break it down simply. SAF is a drop-in fuel. That means you don't need to modify airplane engines to use it. You just mix it with regular jet fuel and off you go. The magic is in how it's made. Most SAF today comes from waste oils and fats. But researchers are working on making it from things like municipal solid waste, forest residues, and even algae. The more sources we can tap, the cheaper and more abundant it becomes. The SAFFA Fund invests in companies and technologies that can scale up production. It's not just about building one plant. It's about creating an entire industry. ### The Bigger Picture for Aviation The aviation industry has a tough road ahead. It's responsible for about 2-3% of global CO2 emissions. And unlike cars, you can't just swap out the engine for an electric one. Batteries are too heavy. Hydrogen is promising but far off. So for now, SAF is the best tool we've got. Governments are starting to mandate its use. The European Union has a blending mandate that will require airlines to use more SAF over time. The United States has tax credits and grants to encourage production. These policies are creating demand, and funds like SAFFA are there to meet it. ### What This Means for Travelers If you fly Turkish Airlines, don't expect to see an immediate change. SAF is still more expensive than regular fuel, and it's not widely available. But over the next 5-10 years, you'll start to see airlines advertising their SAF usage. It will become a selling point, like free Wi-Fi or better legroom. Eventually, it might even affect ticket prices. SAF costs roughly 2-4 times more than conventional jet fuel. As mandates kick in, some of that cost will likely be passed on to passengers. But the hope is that as production scales, prices will come down. ### The Bottom Line Turkish Airlines joining the SAFFA Fund is a smart move. It shows they're thinking ahead. They're not just reacting to regulations. They're actively shaping the future of fuel. For an airline that flies to more countries than any other, that kind of foresight matters. If you're in the aviation industry or just someone who cares about sustainable travel, this is a development worth watching. The race to decarbonize air travel is on, and Turkish Airlines just placed a big bet.